What Can We Expect from the Hungarian Real Estate Market in 2026? – Csorba Dániel, Co-founder of DanDan and Magyar Villák Magazine, Shares His Insights

How do you currently see the state of the Hungarian real estate market? Would you describe it as stagnating, recovering, or waiting?

Csorba Dániel: The market is clearly in a waiting phase. I don't expect the kind of explosive price increases we saw twice during 2025, but I still believe this year could bring around 10% growth.

How uniform is the market? Are we seeing similar trends everywhere, or is it becoming increasingly fragmented?

Cs. D.: From the perspective of active market participants, the market is healthy. From the perspective of the population as a whole, however, it is becoming almost absurd.

To what extent are the elections affecting the market? Have buyers and sellers already started waiting?

Cs. D.: We've already been in this waiting period for about a month and a half. If everything goes well, in another week people should start feeling more confident again.

Based on previous election cycles, what can we expect from the real estate market after the elections?

Cs. D.: Buyers and sellers will regain confidence and once again be able to plan four years ahead.

You've often said that now may be a good time to enter the market. What's behind that statement?

Cs. D.: I wouldn't say that now is the perfect time to buy. What I do say is that buying will become increasingly difficult. In hindsight, purchasing property has almost always turned out to have been the right decision, regardless of when you bought.

How strong is buyers' negotiating position at the moment?

Cs. D.: During the past few months buyers have had relatively strong bargaining power. However, property owners are typically slow to accept that declining demand requires lower asking prices. They usually become willing to reduce prices or accept larger discounts only several months after the market begins to cool. That said, based on what I see and what I hear from colleagues, this situation is likely to improve after the elections, regardless of the outcome, so waiting could prove to be a successful strategy.

How common is it today to negotiate a substantial discount from the asking price?

Cs.D.: It depends entirely on the property. I've heard of negotiations resulting in 30–40% discounts, but those never happen in our transactions. In approximately 80% of our deals, the final price remains within 5–10% of the asking price.

Where are prices now compared to previous highs?

Cs. D.: Since the end of November we've seen price corrections of around 3–5%. However, considering Eurostat's latest quarterly figures showing that Hungarian property prices have increased by approximately 280% over the past ten years, there is still room for prices to normalize.

Do you already see any market segments or locations where prices have started rising again?

Cs. D.: There are areas where prices never really stopped increasing. Budapest's 11th and 13th districts have consistently remained among the strongest markets. The same trend is visible in larger cities such as Debrecen.

How much do mortgage interest rates influence demand?

Cs. D.: As we observed during the last quarter, lower financing costs can significantly boost demand. However, as prices rose sharply at the same time, many buyers disappeared from the market within just a few weeks because they simply weren't willing to buy at any price.

Does the current economic environment support or hold back the market?

Cs. D.: It initially contributed directly to rising prices, and through those higher prices it eventually reduced the number of property transactions.

From an investor's perspective, is it currently better to buy, hold, or wait?

Cs. D.: Quite a few investors closed their positions two or three months ago by selling their properties, expecting a market downturn before buying again. Personally, I don't see such a downturn coming. However, since property prices are at historic highs, it was certainly a reasonable time for those who wanted to exit the market.

Which types of properties do you currently see as offering the greatest potential?

Cs. D.: We are approached with many creative concepts. One of my current favorites involves using prefabricated buildings to transform the entire industry. There are plenty of overused investment ideas, but truly exceptional returns are often found in innovative concepts.

Would you say the market is currently driven more by fear or by waiting?

Cs. D.: Primarily by waiting.

What is the biggest misconception you encounter these days?

Cs. D.: The idea of a real estate bubble. Many people are expecting the market to burst, but I simply don't see the numbers or trends that would support such a scenario.

Where do you see the market in one or two years?

Cs. D.: I don't see any process that would significantly reduce prices or halt long-term growth. The market is driven by ordinary people. A large proportion of buyers are selling one property in order to purchase another, so rising prices don't necessarily disadvantage them because they're benefiting from the appreciation of the property they're selling. The remaining active buyers generally belong to the top 20–30% of income earners, whose salaries continue to grow well above inflation, making higher property prices far more manageable. These groups make up the real market. The remaining 70–80% of the population are gradually moving further away from home ownership, but they no longer have a significant influence on market dynamics.

If you could give just one piece of advice to people planning to buy property today, what would it be?

Cs. D.: This may not age well, but my advice would be: the sooner you enter the market, the better off you'll likely be. I believe that 95% of Hungarian homeowners would agree with that statement.